'Fast Money' Recap: Next Moves

NEW YORK ( TheStreet) -- The markets ended up Tuesday after early gains were pared.

The Dow Jones Industrial Average rose 11.86, or 0.11%, to 10,564.38, while the S&P 500 edged up 1.94, or 0.17%, to 1,140.44. The Nasdaq was up 8.47, or 0.36%, to 2,340.68.

Pete Najarian said on CNBC's "Fast Money" TV show there was heavy volume in Citigroup ( C), which traded 1.1 billion shares.

For a breakout of some stocks from a recent "Fast Money" TV show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."

3 Stocks I Saw on TV

He said it was also busy in the options markets, with 17 million contracts traded, with volume especially heavy in OSI Pharmaceuticals ( OSIP), a takeover target, and Southwestern Energy ( SWN).

Guy Adami said trading opportunities are still available despite low volume days like today. For example, he said Transocean ( RIG), recovered from its "disastrous" earnings and has shot up from $77 to $86.

Joe Terranova said the markets are very sensitive to M&A potential and the 1,150 level in the S&P.

Karen Finerman said General Growth Properties ( GGP) is seeing a lot of action as the bidding continues to move the stock price up.

Mike Huckman, a CNBC reporter, said there was plenty of action in biotech. He said Abbot Labs ( ABT) is buying Facet Biotech ( FACT) for $27 a share. He also said Intermune ( ITMN) shares soared 62% after the FDA approved its drug for lung disease.

Adami said biotech is the place investors should be in. He said his favorite - Celgene ( CELG) -- just hit another 52-week high.

Melissa Lee, the moderator of the show, said Citigroup was up 7%, on tremendous volume. Terranova said investors should get into the stock for the long term. Adami said AIG ( AIG) was also up and advised taking profits on the stock.

Lee asked Peter Schiff, president of Euro Pacific Capital, if housing could derail the market. Schiff said the housing market is in terrible shape with the government holding it up by guaranteeing mortgages and keeping interest rates at artificially low levels.

He said housing prices would have to come down more, but that would expose the bad debt of banks and trigger more government bailout action.

Shifting to the tech sector, where Apple ( AAPL) hit another high as the debut of the iPad nears. Adami's favorite, though, was Akamai ( AKAM), which he thinks has "more juice to the upside" despite its recent runup.

Colin Gillis, senior tech analyst at BGC Financial, was down on Google ( GOOG). He said Google is facing declining click prices, increasing competition from Microsoft ( MSFT) and problems in China.

Despite its huge warchest of cash, Google can't do much for fear in the way of deal making for fear of the regulators, he said.

Lee brought in Phil Lebeau, a CNBC reporter to talk about the Toyota's ( TM) mounting problems following today's announcement of a Prius recall. He said the stock is in a hole because it's difficult to say how much the automaker will have to spend on litigation costs and incentives. He said one estimate is as high as $5 billion.

Finerman said she sold the stock today, calling it a "value trap."

Lee noted that the Vix is under 18. Scott Nations, president of Nationsshares, agreed, saying volatility is at a three-year low. He said investors should take the opportunity to buy protection in good names like McDonald's ( MCD) at a cheap price. He said McDonald's a "great name" with some clouds on the horizon.

Is the shorting the euro still in play? Dennis Gartman, of the Gartman Letter, said nothing has changed in the past three months to change his mind about the trade. He acknowledged the trade is getting crowded, with hedge fund manager betting on the collapse of the euro.

Lee brought in Whitney Tilson, founder and managing partner of T-2 partners, and asked what he would be doing for the next 12 months. He said he would be taking profits and leaning toward going long big-cap blue chips.

Tilson said the economy is not out of the woods yet and feels the valuation of the S&P is a little stretched. He said he's still in General Growth Properties and believes it is worth more. He also said he's sticking with Yahoo! ( YHOO), noting it fits his company's theme of investing in companies that are out of favor but that can still "fix their problems."

He remains short on Palm ( PALM), noting it will be "taken out" at $2.

In the final trades, Brian Kelly liked Penske Automotive ( PAG) Terranova said he sold Select Sector Consumer Discretionary SPDR ( XLY) at the closing. Adami liked Akamai while Finerman liked American Eagle Outfitters ( AEO). Najarian touted Kansas City Southern ( KSU).

-- Written by David Tong in San Francisco

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

"Check out "'Fast Money' Portfolios of the Week" on Stockpickr every Thursday.

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